Nature of the Case
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Facts
Veterans who become disabled as a result of military service are eligible for disability benefits, which are calculated according to how serious the disability is and the impairment in the veteran's ability to earn a living. Military members may also earn pension upon 20 years or more of service. To prevent double dipping between disability pay and retirement pay, a military retiree may receive disability benefits only to the extent he waives a corresponding amount of his retirement pay. Disability benefits are exempt from taxes and as such, most retirees take those instead of retirement benefits. Gerald (H) and Gaye (W) were married for 23 years with six children. Their marriage ended in divorce in 1979. H obtained the rank of Major, received both retirement pay, and pursuant to a waiver disability pay. W and H entered into a property agreement in which H would pay W 50% of retirement pay including that portion waived so that H could receive disability benefits. In 1983, H asked the court to modify the divorce decree by removing the provision that required him to share his total retirement pay; the court denied that request. H appealed. The Supreme Court of California eventually denied H's petition for review. The Supreme Court granted certiorari.
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